"I Won't Save GM From Bankruptcy! - Elon Musk

Elon Musk has publicly declared that he won't save GM from bankruptcy for all the profit in the world. General Motors, once the leading automaker in the world, is grasping at straws to sell its cars and balance its books. Only Elon Musk, the richest man in the world and CEO of a highly successful company Tesla, can save it and make it a success. But why is he refusing to help out? Will GM ever stand at the top of the automobile industry again? Let's find out! Elon's grudge against GM In 2009, GM's financial woes were at an all-time level, forcing it to declare bankruptcy and kicking off the biggest industry collapse in U.S. history. After ranking up $81 billion in losses over the course of four years, the government decided it was time to step in and save the To do this, the government pumped the company with the funds to stay afloat, and by 2013, the government had released $49.5 billion to GM. But this wasn't the end of their struggles. In an interview with CNBC, CEO of GM Mary Barra talked about the challenges that GM was facing, noting that the company faces production snags at every corner. Once they resolve an issue, another one pops up, and they are now dealing with issues on a weekly basis, hoping that it will get better next year. The company's second quarter sales fell 15 percent due to production and supply issues, which is surprisingly an increase from the 40 percent fall during the second half of last year. In 2021, Toyota outsold GM in the U.S. market, making it the first time since 1931 that the legacy automaker hasn't led U.S. sales, another sign of the company's struggle to retain its status. Despite their challenges to remain relevant, the U.S. government remains ever-supportive of the efforts, much to the dislike of Elon Musk. In 2021, GM was primed to be the first to receive the bulk of a $1 billion corporate handout program. In July, the U.S. Department of Energy gave a $2.5 billion loan to GM's joint project with LG Energy to construct new lithium-ion battery cell manufacturing facilities. With the several incentives the government has made to favor GM, it's fair to say they are making their vehicles at almost no cost. As if their appreciation for GM wasn't evident enough, Joe Biden, President of the United States, openly congratulated GM for electrifying the entire automotive industry. He praised GM once again at the State of the Union summit in March, ignoring the contributions of Tesla and Elon Musk to the automobile industry. In time, the real leader of the automotive industry called out Biden's partial love for General Motors, despite the company's subpar track record in terms of electric vehicles. Despite Elon's decision not to talk about rivals in order to avoid giving them publicity, he felt that respect should be given where due. He noted that the UAW had exerted so much control over Biden in the White House enough to exclude Tesla from the EV summit and recognize a company that only sold 24 units of EVs in the fourth corner of 2021 as the leader of the EV industry. Tesla has also been absent from several organized EV meetings among industry leaders. We also have to take into account the rivalry between General Motors and Tesla. Everyone wants to be the guy at the top, and right now, that company is Tesla. With the EV leader holding 66% of the market share in a small but ever-growing industry, it has rivals right, left, and center, and GM stands at the top of that list. Past and current executives of the company have taken jibes at Tesla and CEO Elon Musk whenever they can, disregarding the track record they have set in the industry. The former vice president of GM, Bob Lutz, appeared in an interview, calling Elon Musk a nice guy who doesn't know how to run an automotive company. In very succinct language, Lutz called Tesla an automotive company that is headed for the graveyard. Despite Tesla's reputation as a software company, he stated in 2018 that Tesla has no advantage in terms of technology, battery, and software against the growing competition. He couldn't have been more wrong. The current CEO, Mary Barra, has jumped through loops to avoid acknowledging the track record of Tesla. In every instance, she maintained Biden's position that GM is, and has been, the EV leader. Although the company continues to trail far behind Tesla in terms of EV sales, the CEO remains certain that GM will dominate the EV market in time as the company sets out to invest $30 billion in its electric vehicles before the end of 2025. In response to the CEO's stance on beating Tesla, Elon Musk mentioned that there is still a lot of room for improvement at GM before they have a chance of catching up to Tesla, and before that can happen, make sure you hit the like button if you are enjoying the video so far and subscribe to the channel for more on Elon Musk. The Union-Loving GM Tesla has established its position as an anti-union-based company, while GM is more union-loving, something that the government highly supports. One might say that the latest government incentives for union-only EV companies was made to exempt Tesla. Many seem to believe that Tesla employees aren't treated properly due to the absence of union and are not allowed to unionize by the company. This controversy became more widespread when the UAW claimed that Tesla had fired a worker for trying to form a union. When asked if he would allow the company's workers to form a union, Elon responded that there wasn't anything he could do if Tesla employees wanted to form a union, and that is the truth of the matter. Tesla and Elon Musk have no say, legally or otherwise, whether or not their workers can form a union, especially with California being a pro-union state. Despite Elon Musk's neutral stance on the matter, former employees of the company believe that that isn't the case. These employees claim that there have been several attempts to unionize, but every effort was shut down before it left the ground. According to their interviews with The Guardian, Tesla would fire pro-union workers under different pretexts if they did not give up their efforts to unionize. Their claims seem to have been given some backing in 2021, after the National Labor Relations Board directed Tesla to offer a job back to a terminated employee and remove a tweet saying employees would lose stock options if they chose to form a union. In 2019, the company's management was also found guilty of using illegal anti-union tactics, but Tesla has stood their ground, with Elon Musk maintaining that he has never stopped a union vote or prevented a union from forming. To further back up his claim, he invented the UAW to hold a vote to unionize the company's Fremont factory in California, but many believe that the company isn't still welcoming of organization efforts. It should be willing to accept that if violated several labor laws to show that they are open to a union. On the other hand, most of the GM's hourly workers have been under the UAW umbrella since the company's inception. The company's relationship with UAW has had its ups and downs, with Elon Musk arguing that the presence of the union was what led to GM's downfall in the first place. Despite the claims of Tesla's anti-union stance, it is crucial to recognize the possibility of Tesla's employees not wanting to be in a union. On average, the Tesla employees that are non-unionized make more on an hourly basis than GM's unionized workers and are generally treated fairly by general standards. While some would argue that union workers receive healthcare benefits, Tesla employees also receive healthcare benefits and have the choice of Tesla's stock options. The union has also been embroiled in corruption issues with a dozen high-ranking officials, including two former presidents convicted of embezzling more than $1 million for personal reasons. In March, Timothy Edmonds, the former financial security treasurer of one of the Detroit branches, was found guilty of embezzling $2.2 million for personal expenses like gambling, guns, and child support. The series of scandals have tarnished the once spotless image of the prestigious organization, with many slamming the unions and as you would have guessed, Elon Musk couldn't resist taking a swipe at his frequent foe. Mocking the union, Musk reiterated his view that Tesla employees are better off without union representation, tweeting that the UAW slogan should be, fighting for the right to embezzle money for autoworkers. He went on to add that UAW stole millions from workers, whereas Tesla has made workers millionaires via stock grants. Subtle, but important difference. It's hard to see Elon becoming a part of a union-loving company like GM and taking on more responsibility. As the CEO of not one, but three highly successful companies, Elon Musk already deals with enough drama on a daily basis. Now that the acquisition of Twitter is confirmed and underway, saying he's a busy man is a gross understatement. It would take some time and money to acclimate to GM's manner of operation if he does intend to help. At the end of the day, he's still just one man, and it's very unlikely that we will see him shaking hands with GM's execs anytime soon. In case you want to watch more fascinating videos, click the videos on the screen now. If you enjoyed the video, don't forget to subscribe with all notifications turned on.